Details the myriad illegal, immoral, and unethical activities of Dick Cheney when CEO of Halliburton, his obstruction of justice, and lies to the American public since his appointment as Vice President. For information on an equally corrupt politician, see link to Tom DeLay-Corporate Whore. Be sure to visit our cavernous vault of archives.

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FBI widens probe of Halliburton
War contract under scrutiny

By Robert O'Harrow Jr
The Washington Post
Published October 29, 2004

WASHINGTON -- The FBI has expanded an investigation into allegations of contract irregularities by Halliburton Co. subsidiary KBR in Iraq and Kuwait.

The agency requested an interview with a Pentagon official who complained recently that the Army gave KBR preferential treatment when granting it a $7 billion classified contract to restore Iraq's oilfields just before the war began in March 2003, her lawyers said Thursday.

The request comes at a sensitive time because Vice President Dick Cheney once was Halliburton's chief executive, and Democrats have accused the Bush administration of favoring the oil-services company.

The FBI wants to discuss allegations by Bunnatine Greenhouse, a senior Army Corps of Engineers civilian responsible for ensuring contracting competition. She said Army officials did not justify the award or show that KBR, formerly known as Kellogg Brown & Root, had "unique attributes," as required by procurement law, according to a letter her lawyers wrote to acting Army Secretary Les Brownlee and provided to lawmakers in Congress.

The letter said Army officials ignored her repeated complaint that the contract was granted without following normal procedures. It also said the Army allowed KBR representatives to participate in meetings "outside the scope of information KBR should be privy to," before the contract was awarded.

Government auditors said nine months later that KBR may have overcharged the government $61 million for fuel, which Halliburton has denied. Halliburton also is being investigated by the Justice Department and the Securities and Exchange Commission regarding work it did in Nigeria, Iran and Iraq.

Halliburton spokeswoman Wendy Hall dismissed Greenhouse's charges as politically motivated. Hall said "the old allegations by Bunny Greenhouse have once again been recycled, this time one week before the election." Hall said the Government Accountability Office concluded that the oilfield-restoration contract was properly awarded. The Army later put the contract up for bids and KBR was one of two contractors to win.

The company has disclosed in public filings that the Justice Department is investigating what it charged for fuel.

"We continue to work with all of the investigating bodies to resolve issues related to fuel delivery in Iraq," Hall said.

Greenhouse was not available for comment Thursday. In a telephone interview, her lawyer, Stephen Kohn, said federal investigators also are interested in discussing with his client earlier contracts KBR had with the Army to provide logistical support in the Balkans.

"Our concern is that Ms. Greenhouse not be retaliated against, which is what happens to most whistle-blowers," said Kohn, who specializes in whistle-blower cases. "It has not been easy for her."

The FBI investigation appears to be related to one that has been going on for several months involving the collection of records from various Pentagon agencies and private individuals.

Carol Sanders, a spokeswoman for the Corps of Engineers, said the FBI has sought records in recent months relating to Halliburton contracts. "We've cooperated with everybody who has the right to be looking, including the FBI," she said. "Our role is to cooperate."

Sanders said she could not say whether Greenhouse's case is related.

The FBI agent seeking to interview Greenhouse is Jeffrey Jackson, who works at a field office in Illinois. Earlier this year, he interviewed former KBR employees about their allegations of mismanagement of government money in Iraq.

Among the former employees was Henry Bunting, a KBR field buyer who said in July that he told Jackson and another federal agent about improper spending of money and lack of accountability by KBR operations in Kuwait during the war.